He cited factors such as new down payment requirements that the federal government put into effect in February, as well as B.C.'s 15 per cent property transfer tax on foreign buyers as causes for the downturn.

Graph from the Real Estate Board of Greater Vancouver showing how much detached home prices dropped in the city in August 2016. (Photo: Real Estate Board of Greater Vancouver)

Both economists were also united in their optimism about the market's future.

"We expect some of the extreme weakness in August to be reversed in the coming months as the shock of the new [15 per cent] tax on foreign buyers dissipates," Petramala wrote.

Though, she added, "we expect the market to remain weak at least through early 2017."

Marion, meanwhile, expected that B.C.'s job growth would stem the tide of falling prices: "I don't think it sends the economy into a tailspin. It's a healthy correction," he said.